Compu Services provides computerized inventory consulting. The office and computer expenses are $625,000 anually and are not assigned to specific jobs. The consulting hours avofailable for the year total 20,000, and the average consulting hour has $30 of variable costs.

Required:

If the company desires a profit of $100,000, what should it charge per hour?

What is the markup on variable costs if the desired profit is $150,000?

If the desired profit is $60,000, what is the markup on variable costs to cover (1) unassigned costs and (2) desired profit?